720 degree performance appraisal advantages and disadvantages

Performance appraisal is an essential tool for organizations to assess an individual’s job performance and provide valuable feedback. One such evaluation method gaining popularity is the 720 degree performance appraisal. In this article, we will explore the advantages and disadvantages of this unique approach to performance evaluation.


Enhanced 360-degree feedbackThe 720 degree performance appraisal expands on the traditional 360-degree feedback review, providing an even more comprehensive assessment. It collects feedback from a wider range of individuals, including peers, subordinates, supervisors, and external stakeholders.
Multidimensional perspectiveBy involving multiple perspectives, the 720 degree appraisal offers a more holistic view of an individual’s performance. It helps identify blind spots and provides a well-rounded picture, giving individuals a clear understanding of their strengths and areas for improvement.
Increased accuracy and reliabilityThe involvement of multiple assessors ensures a more accurate and reliable assessment. By collecting feedback from various sources, it reduces bias and provides a more objective evaluation, leading to fairer decisions regarding promotions, training, and development opportunities.
Better self-awarenessThe 720 degree appraisal promotes self-reflection and self-awareness. It enables individuals to gain insights into their performance from different perspectives, leading to personal growth and development. This increased self-awareness can also lead to improved performance in subsequent evaluations.


Time-consumingThe 720 degree performance appraisal requires significant time and effort from all parties involved. Collecting feedback from multiple individuals, compiling the data, and analyzing the results can be a time-consuming process, especially in larger organizations.
Inconsistent feedback qualityNot all assessors may provide thorough and high-quality feedback. The reliability and usefulness of the evaluation heavily rely on the honesty, competency, and objectivity of the individuals involved. Inadequate or biased feedback can diminish the effectiveness of the appraisal process.
Complex implementationThe 720 degree appraisal requires a structured and well-planned implementation process. It involves establishing clear guidelines, training assessors, and ensuring effective communication throughout the process. Failure to properly implement the appraisal can lead to confusion and dissatisfaction among participants.
Resistance to feedbackReceiving feedback from multiple sources can be overwhelming for individuals. Some may find it difficult to accept criticism or may perceive the feedback as unfair. This resistance can hinder the effectiveness of the appraisal process and limit its impact on employee development.

Understanding the advantages and disadvantages of the 720 degree performance appraisal can have several benefits for both organizations and individuals. It allows organizations to make more informed decisions regarding talent management, career development, and performance improvement strategies. Individuals, on the other hand, can gain valuable insights into their strengths and weaknesses, enabling them to take proactive measures for personal growth.

In conclusion, the 720 degree performance appraisal offers a comprehensive and multidimensional approach to evaluating performance. While it provides numerous advantages, such as enhanced feedback and improved accuracy, it also poses challenges like time consumption and potential resistance. By acknowledging these factors, organizations can effectively implement this appraisal method, leading to fairer evaluations and increased employee development.